The US dollar index rose nearly 2% in September, marking its best monthly performance since March. The Federal Reserve will focus its policy on curbing inflation, driving market expectations of interest rate hikes, and increasing US bond yields. The market has fully priced the December interest rate hike and expects the Federal Reserve to tighten by approximately 90 basis points over the next 12 months. New York Fed President Williams said it may be appropriate to raise interest rates again later this year. The US economic data remains strong, with the Iran war pushing up energy prices and exacerbating inflation risks, and the 30-year US Treasury yield rising to its highest level since 2002. In September, except for the Japanese yen, all other G10 currencies fell against the US dollar. Some technical indicators indicate that the rise of the US dollar has entered the overbought area. (Source: Jin Shi)
